Gordon Brown
did a U-turn on SIPPS but
there is still a way to purchase French Property and have your Pension
pay for it.
An
excellent way to invest in property in France is
through buying a leaseback property which benefits
from a government-backed VAT-refund incentive, designed
to encourage investment
in tourist residences. Through freehold ownership of an apartment or
cottage that is leased back to a management company for a minimum period
of 9 years, investors benefit from guaranteed annual returns from their
fully managed and maintained property with relatively low up-front
costs and no ongoing maintenance or running charges.
Main features of a leaseback
property
What
does leaseback mean?
Investors
buy the freehold of a property outright but lease it
back to a management company who specialise in the
tourist management, maintenance and rental of these
properties for a minimum 9-year period. In return owners
receive a guaranteed annual return, irrespective of
occupancy of the property, NET of all communal charges,
maintenance and running costs.
The
Management Company are uniquely and very importantly
the developers and the managers of the properties,
with 6.6 million clients staying in one of over 250
residences in 6 European countries each year so have
a very clear vested interest in the quality construction,
location and ongoing maintenance of the properties.
Reece Carrington are members of FOPDAC Membership No. 1300F